Pop star Rihanna filed a suit against her accountants last week, claiming that their faulty practices led to millions in losses for the singer.
Rihanna alleges that during her 2009 Last Girl on Earth Tour the accountants took 22 percent of revenues while she received only 6 percent. Meanwhile, the tour was bleeding money and operating at a loss.
In the lawsuit, Rihanna contends that since New York-based Berdon LLC took their fees from the gross revenues, there was no reason for them to advise Rihanna to trim tour expenses.
The suit says that the idea of taking commissions from the gross revenue created a conflict of interest since they would get paid regardless of whether or not Rihanna’s tour posted a profit after deductions for operating costs.
Rihanna is also suing Berdon LLC for not dissuading her from buying an expensive home back in 2009. She says that qualified business managers would have warned her about purchasing the home with her tour performing in the red.
So far, Berdon LLC has not commented on the lawsuit.